The document provides an overview of the NSF's small business programs, detailing funding mechanisms for the SBIR/STTR phases, including matching funds and project definitions. It highlights the demographics of awardees and various research opportunities available for community colleges, K-12 educators, undergraduate students, and veterans tied to active phase II projects. Additionally, the document outlines broad topical categories relevant to proposed projects, emphasizing the importance of aligning technical and commercial goals.

1. 1
An overview of small business
programs at NSF - and how to work with
grantee companies
Ben Schrag, Ph.D.
Program Director, SBIR/STTR
Industrial Innovation and Partnerships (IIP)
October 24, 2013

2. Phase IB
Third-Party
Investment + 1:2
NSF Matching
(up to $30k)
IA
Phase IIB
Third-Party
Investment + 1:2
NSF Matching
(up to $500k)
IA
Private Sector
Or
Non-SBIR
Investment
Phase I
Phase II
Phase III
Feasibility Research
SBIR - $ 150k/6 mos.
STTR - $ 225k/12 mos.
Research towards
Prototype
$ 500k or $750k/24 mos.
(based on solicitation)
Product Development
to
Commercial Market
IA = Innovation Accelerator

3. Specific NSF SBIR Program Features
3
 Funds set-aside for SBIR
 $152 million at NSF in FY2012
(for SBIR Phase I, II, and IIB combined)
 Broad topical areas
 Nine very wide topical areas intended to allow proposers the ability to align
their proposed project with the company’s commercial goals
 Three-phase approach:
 PHASE I – Feasibility Research (6 months - $150,000/$225,000)
 PHASE II – Research Toward Prototype (24 months - $750,000)
 PHASE IIB – Matching funds against outside investment (12 to 24 month
extension, up to an additional $500,000)
 PHASE III – Product Development to First Revenues
(non-SBIR/STTR funding)

4. Awardee Demographics
4
 Data from FY 2012 NSF SBIR/STTR Phase I awardees:
 86% of Phase I awardees have 10 or fewer employees
 90% of Phase I awardee companies were incorporated since 2007
 73% of Phase I awardees have never had a Phase II award from
any agency
 University ties and lineage of Phase II projects (National




Academies Study, 2007):
37% involve faculty members
27% involve graduate students
25% rent/use university facilities
17% issue a subcontract to a university

5. Broad Technical Topics
5
 Educational Technologies and Applications (EA)
 Information and Communication Technologies (IC)
 Semiconductors (S) and Photonic (PH) Devices and Materials
 Electronic Hardware, Robotics and Wireless Technologies (EW)
 Advanced Manufacturing and Nanotechnology (MN)
 Advanced Materials and Instrumentation (MI)
 Chemical and Environmental Technologies (CT)
 Biological Technologies (BT)
 Smart Health (SH) and Biomedical (BM) Technologies
 Topical fit is much less important than the technical and
commercial requirements of the solicitation!

6. Supplemental Opportunities
6
 Should be initiated by the small business
 Must always advance the technical and commercial goals
of the grantee company, and be beneficial for the partner
 Generally are awarded at the discretion of the Program
Director
 Most companies take advantage of one or more during
Phase II

7. Phase IICC
7
 Purpose:
 Grantee partners with community college research teams to undertake
additional research to further the goals of an existing Phase II
SBIR/STTR project, and to allow community college faculty and students
to participate in innovation research.
 Eligibility:
 Applicant must be an active Phase II SBIR/STTR awardee in good
standing
 Funding Level:
 $40,000 per supplement – at least 75% to the community college

8. Research Experiences for Teachers (RET)
8
 Purpose:
 Supports active involvement of K-12 teachers and community college
faculty in engineering research.
 Eligibility:
 Applicant must be an active Phase II SBIR/STTR awardee in good
standing
 Teachers of grades K-12 and community college faculty are eligible
 Funding Level:
 $10,000 per teacher – limit of two supplements per project year

9. Research Experiences for Undergraduates (REU)
9
 Purpose:
 Supports active involvement of undergraduate students in innovation and
engineering research.
 Eligibility:
 Applicant must be an active Phase II SBIR/STTR awardee in good
standing
 Students enrolled in two-year or four-year degree programs can be
supported.
 Funding Level:
 $8,000 per student – limit of two supplements per project year

10. Veterans Research Supplement (VRS)
10
 Purpose:
 Supports active research participation by veteran students interested in
Science, Technology, Engineering, and Mathematics (STEM) career fields.
 Eligibility:
 Applicant must be an active Phase II SBIR/STTR awardee in good standing
 Full or part-time U.S. veteran undergraduate, graduate, or community college
students at U.S. universities and colleges can be supported.
 Veteran STEM teacher(s) of grades K-12 or veteran community college faculty
can also be supported.
 Funding Level:
 $10,000 per veteran – limit of two supplements per project year

11. More Info?
11
Ben Schrag
bschrag@nsf.gov
SBIR/STTR Program website:
http://www.nsf.gov/eng/iip/sbir/
Follow us on Twitter: @NSFInnovateSBIR
Current solicitations:
SBIR: http://nsf.gov/pubs/2013/nsf13599/nsf13599.htm
STTR: http://nsf.gov/pubs/2013/nsf13598/nsf13598.htm